Is Hurricane Damage Covered by Homeowners Insurance?

Although Florida is a hurricane-prone region, there is no specific insurance policy that provides hurricane coverage.

Depending on your coverage, however, certain hurricane damage may be covered by your HO policy.

What Hurricane Damage is Covered by My HO Policy?

When it comes to protecting your home, it is important to know exactly what your policy covers. Your hurricane coverage will depend on a variety of factors including, where your home is located and what your particular policy includes.

WIND

Wind damage is covered by most Homeowners Insurance policies in Florida. It is important to confirm with an insurance agent that your policy includes damages caused by windstorms during a hurricane.

FLOODING

Flooding caused by storm surges is generally NOT INCLUDED in a Homeowners Insurance policy in Florida. Flooding caused by hurricane debris blowing water into your house, on the other hand, could be covered in an HO policy. Specific scenarios can be reviewed with an insurance agent.

SEWAGE

Sewer backup is generally NOT INCLUDED in a Homeowners Insurance policy. You can, however, add a sewer backup endorsement to your policy. If heavy rainfall from a hurricane causes sewer backup, you'd want to make sure you have both sewer backup and flood coverage to ensure you are completely covered in the event of a hurricane.

EVACUATION

This one depends. If you evacuate your home to avoid a hurricane before it comes, your HO policy will not cover your expenses. If you return to an uninhabitable home after a hurricane passes, a portion of your policy will pay for your additional expenses incurred living elsewhere.

How do Hurricane Deductibles Work?

If your Homeowners Insurance policy covers certain damages from hurricanes, claims may be subject to a separate deductible that the policyholder has to pay. This is often called a hurricane deductible or named-storm deductible.

Example:-

Your home is insured for $250,000 with a 2% wind deductible and has hurricane damages of $50,000. The amount of the deductible will be 2% X $250,000 = 5,000. The insurance provider would pay the rest. ($45,000)

Factors That Affect
Home Insurance Premiums

The more risk your house carries of fire dangers, liability issues, or crime will affect your insurance premium. Check out this complete list to see what factors affect your Florida HO premium.

AGE OF THE HOUSE

New houses can be up to 25% cheaper to insure than older houses due to their lower risk factor.

TYPE OF STRUCTURE

The size, materials used , and condition of your house will affect the insurance premium rate.

WIRING & PLUMBING

How old or new your plumbing and electrical systems will affect your insurance premium.

EXTERNAL STRUCTURES

The condition and respective risk of a roof, garage, swimming pool, or trampoline will affect your insurance premium rate.

LOCATION

Expect to pay a higher premium if you live in an area prone to natural disasters, floods, and crime.

Living near a firehouse or fire hydrant can lower premiums. Having fire hazards like outdated heating systems or wood-burning stoves can increases premiums.

PURPOSE

Houses that are used to run businesses run higher risks of facing lawsuits, theft, and accidents, consequently incurring higher premiums.

PERSONAL FACTORS

Being married, owning a dog, or being an avid smoker can affect your HO Florida insurance premium.

DEDUCTIBLE AMOUNT

The higher the deductible, the more money you can save on your premiums. Choosing the right deductible amount is important for your finances in the long run.

CLAIMS HISTORY

The more often claims are filed, the higher the premium is. Remember that claims you have filed at previous residences will follow you.

CREDIT HISTORY

You can not be refused coverage because of low credit. On the other hand, you can be offered a discount on your premium if you have a higher credit score.

Types of Home Insurance Coverage in Florida

You should purchase enough insurance to cover 100 % of the cost of rebuilding your home in case it is damaged or destroyed. You should speak to an insurance agent to determine the type of coverage your home needs.

Actual Cash Value

This pays what the property was worth at the time it was destroyed, minus depreciation.

Replacement Cost

This is a more comprehensive option that does not account for depreciation.

Extended Value

This coverage is designed to protect against things like sudden hikes in construction costs, among other unforeseen circumstances.

How Much Does Florida Home Insurance Premiums Cost?

The average annual homeowner's insurance premium in Florida is $1,993, which is $820 more than the national average.

Your home insurance premium will depend on all of the factors outlined above as well as on what specific kind of coverage you will need. It is important to speak to an insurance agent to make sure you get the right insurance policy for your home in Florida.